Kamis, 07 Juni 2012

Grillin'


Have you seen the news about a Massachusetts man who reportedly got second-degree while grilling? This after applying sunscreen.              

And what, exactly, is the risk that this will happen to you?
Consumer Reports does not test for flammability when we review sunscreens, but in general we recommend applying sunscreen about 20 minutes before you head outside so that it has time to soak in before you go out into the sun. Waiting that 20 minutes could also mean you avoid the scenario reported yesterday from Massachusetts.
According to CR, the problem was likely the result of "droplets from the spray" that hadn't been fully absorbed, and that were ignited when the would-be griller neared his Weber.

So what's the bottom line? CR recommends:
[T]hat you don't use any spray sunscreens on your children. The Food and Drug Administration is exploring the risks of inhaling spray sunscreens, which are greatest among children. Until the agency completes its analysis, we recommend that spray sunscreens not be used on or by children unless you have no other product available. If that's the case, spray it on your hands first, then rub it on your child. And as with all sunscreens, be especially careful when applying it to a child's face, taking care to avoid eyes and mouth.
They even provide a handy sunscreen buying guide.

Rabu, 06 Juni 2012

Astute Carrier Trick

In email this morning, Aetna reported on its experience with the new MLR (Medical Loss Ratio) rules. Aetna claims that, because of its pricing strategies, they're in pretty good shape:

"The reports we filed with [HHS Secretary Shecantbeserious] demonstrate our ability to price appropriately ... Aetna's rebates represent about 0.5 percent of the premiums we collected"

In fact, they claim that most of their insureds won't even see a rebate check.

Good for them (one supposes).

They acknowledge that the increasing cost of health care does, in fact, drive premiums, and that (as Bob has frequently pointed out) lifestyle choices (ie obesity) is a major contributor, as well. Of course, there's the usual sop to "waste and inefficiency" (why is it that no one can ever actually quantify this?).

But what really intrigued me was their answer to the question "is MLR even working?" They must be closet IB readers:

"The rules also unnecessarily increase administrative costs for us and our customers, and could even force insurers out of some markets, reducing competition and limiting choice."

Spot on.

Selasa, 05 Juni 2012

Helmets? We don't need no steenkin' helmets! [UPDATED]

Our on-call P&C guru, Bill M, passes along something interesting for our two-wheeler fans. He received this via email from one of his carriers:

"Michigan has a new law that allows motorcyclists to ride without a helmet if they meet certain criteria. One of these is having a minimum $20,000 per person limit of Med Pay. Most motorcyclists will still continue to wear helmets, however, several Michigan agencies have expressed concern about Errors & Omissions if they do not at least contact these insureds and make them aware of the requirements should someone take advantage of the new law change, drive without a helmet and have an accident. Some are encouraging policyholders to increase the limit beyond $20,000."

Let me note first that my brother-in-law the orthopedic surgeon calls then "donorcycles." And that goes double for those who eschew the head gear.

The home office critter who sent Bill the email also advised agents to search online for details, which we did. Turns out, it's more than just the $20k insurance limit:

"Motorcyclists can forgo a helmet if they are at least 21 years old, carry at least an additional $20,000 in medical insurance and have either passed a motorcycle safety course or had their motorcycle endorsement for at least two years. Passengers also must be 21 or older to go helmetless, and there has to be an additional $20,000 in insurance for the passenger"

Probably want to make sure your life insurance is paid up, as well.

UPDATE: From Jeff M, who notes that at least one Wolverine in-the-know doesn't think too highly of this initiative:

"We call it the organ donor enhancement act ... We’ve always had a shortage of donors but expect to see the numbers go way up,” said the emergency room veteran"

But that's just anecdotal, right?

Um, not so much:

"A new report ... finds that the trend towards giving riders the freedom to go helmet-less is resulting in a significant increase in motorcycle fatalities."

On the one hand, it's tempting to just invoke Darwin and move on, but many of these folks aren't killed instantly, and end up costing major health care dollars (perhaps) better spent elsewhere.

Madam Secretary Shall by Decree . . .

In the 2 years since a 2700 page law dubbed Obamacare has come in to being, the HHS Department and Madam Shebullshits have issued some 12,000 pages of regulations and edicts, all in the name of making health care, and health insurance, more accessible and affordable.

So far, we have yet to see either.

That hasn't stopped them from pressing forward, alienating large segments of the public, turning health care providers (and the Supreme Court) in to adversary's and generally making a mess of things.

But wait, there's more!

Some 85,000 or so physicians will play a crucial role in Obamacare, including the 16+ million new enrollee's in Medicaid. So how will this impact the doctors?

The Hudson Institute has some insight in to the future of Obamacare from a physician's perspective.

This $800+ billion (a low estimate in our view) will be funded by new taxes on everyone who uses health care (including the poor and middle class) as well as significant reductions in Medicare funding plus increased cost shifting for out of pocket expenses to seniors and the disabled on Medicare.

Beyond the complexity of the law (which no one admittedly read before voting on it) the one individual given almost total control over health care rests with a non-elected official that holds the title of HHS Secretary. Given virtual czarist powers, we have already seen the way the current Secretary has bludgeoned her way through almost every aspect of the health care system with complete disregard for the outcome.

The most recent public battle, which is still being waged in the form of a lawsuit, involves the issue of mandated "free" contraceptive devices for everyone, including those who oppose such on the basis of religious views.

How did the HHS Secretary gain such control?

References to the HHS Secretary appear over 3,000 times in the 2700 page bill.

Former HHS Secretary Leavitt said "It puts more power than is prudent in the hands of one person, and it is not an answer to our current health care crisis".

Also from the Hudson report comes this tidbit about Obamacare.
Incredibly, the bill’s powers are not limited to the broad macroeconomic issues described above. They also regulate a wide range of medical areas in minute detail, extending their reach even to one of the most personal arenas: the dentist’s chair. Section 4102 of the ACA, for example, states: “The secretary shall develop oral healthcare components that shall include tooth-level surveillance.” As Secretary Leavitt describes it, the mandate for tooth-level surveillance would require “a clinical examination in which an examiner looks at each dental surface, on each tooth in the mouth.”
In the real world we call this micro-managing.

In DC world this is just business as usual.

A recent survey indicated that 60% of physicians surveyed said Obamacare would have a NEGATIVE impact on patient health care . . . and these are the folks on the front line of health care delivery. Another survey of new physicians found 57% were pessimistic about the future of health care and 34% feel that way specifically because of Obamacare.

And then there is the concern about the economic impact of Obamacare.
From the economic perspective, doctors’ top concern raised by the Obama health care law is in the area of reimbursement rates. The reimbursement question usually centers on the Sustainable Growth Rate (SGR). The proposed cut in reimbursements would hit doctors hard, imposing initial cuts of over twenty percent
I wonder how many in the general population would be willing to take a 20% pay cut in order to advance the noble cause of "health care for everyone"?
While the Obama health law will cover an additional 32 million Americans, 16 million of those newly covered Americans will get their coverage through Medicaid, according to the Congressional Budget Office. Doctors are well aware that Medicaid reimbursement rates are lower than those they get from privately insured patients. In fact, according to Moffitt, “physicians in Medicaid are paid 56 percent of private payment.” This reduced reimbursement rate is the reason that Medicaid patients often have difficulty finding a doctor. Imposing these lower reimbursement rates on a growing number of patients will likely have the impact of exacerbating access issues in the future
And even this fails to take in to account funding at the state level for Medicaid expansion.

Where will the money come from?

How high will taxes have to go at the state level and how many services will be cut back to fund Medicaid expansion? At what point will we, as a society have to say, enough is enough. It is time for the poor to bear the cost of their own care rather than relying on the taxpayer to provide their every need from womb to tomb.

The proverb that says "Give a man a fish and he can eat for a day, but teach a man to fish and he can eat for a lifetime" needs to be considered in this regard.
Beyond economic issues, physicians worry that the new law will interfere with their practice of medicine, and in a variety of ways. To begin with, there is a generalized concern about decision making being taken from doctors and having medical decisions made instead by government officials. Doctors worry about the imposition of “uniformity of practice,” the establishment of strict guidelines that fail to permit individual doctors to make decisions based on their in-person interactions with patients. As Dr. Saul Greenfield writes in the Wall Street Journal, “every physician must, at some point in the patient-care process, make decisions and take responsibility for them. And unless the doctor does so, the outcomes will be compromised."
Does the government REALLY know what is best? Mayor Bloomberg wants to tell New Yorker's what size sugary drink they can and cannot consume within the confines of "his" city.

Isn't all this going a bit too far? And where will it end?
If doctors cannot practice as they wish, it raises the question of whether they will practice. As Dr. Mark Siegel has noted, because of the anticipated changes in health care, “To stay in business under ObamaCare, doctors will have to adjust. Some will see fewer patients themselves and hire nurse practitioners to help carry the load; others will work part-time and supplement their income elsewhere. Many will join groups or become salaried employees of hospitals or clinics.”
Will Obamacare be the primary cause of killing the goose that laid the golden eggs? Was the real goal of Obamacare to make health care, and health insurance, more affordable or was it more a legislative Mt. Rushmore designed to feed an ego?

The further Obamacare goes, the more one has to wonder if this is really what we, as a country, need or want. And in particular, how much control will those who hold the office of HHS Secretary in the future want, and what kind of whims and ego-driven, power hungry schemes await us?

In addition to the cost of Obamacare, which may single-handedly bankrupt the country, there is the issue of will there be enough medical personnel to service the needs of 30+ million newly insured people coming on board in 2014?

Obamacare is the iceberg and the United States is the Titanic, speeding right toward a disaster.

Senin, 04 Juni 2012

And that's why we call it ObamneyCare© [UPDATED & BUMPED]

And not just ObamaCare©:

"...former Bush HHS Secretary Michael Leavitt – the man who, according to Politico, is likely to become Mitt Romney’s chief of staff ... Leavitt has said some relatively positive things about certain elements of Obama’s health reform law ... “We believe that the exchanges are the solution to small business insurance market"

This is the man who would lead a Romney transition team.

UPDATE: In the comments, Mike has a solid rebuttal to my dragging Romney along. One of the great things about the IB crew is that we don't always see eye-to-eye, and I think that gives us an even broader perspective. Here's Mike:

"And that's why we call it ObamneyCare©"

Perhaps that is not being completely fair to Romney.

According to Avik Roy in Forbes this past April:

“it is more accurate to say that the federal Affordable Care Act is modeled after the Democratically implemented version of the Massachusetts law, as opposed to the one that Romney had sought.”
Other snippets:
“Just prior to the ceremony, Romney’s aides had announced that the Governor would be vetoing several key provisions of the bill, including its employer mandate”
“In the end, it didn’t matter what Romney thought about the employer mandate. The Democrats controlled 85 percent of the legislature. After the bill-signing ceremony was over, they went back to the State House and overrode each of Romney’s eight vetoes.”
There’s lots more in Roy’s article.  It’s lengthy but well worth reading the whole thing.

From an Anthem email I just received:

"Earlier today, our parent company announced it entered into an agreement to acquire 1-800 CONTACTS"

Oh, goody!

Now, if they'd only pick up PetMeds, we'd be in business.

Oh, you're probably wondering why WellPoint scooped up the contact lens retailer. Well, according to their press release, WP is looking to expand its non-insurance business.

And who can blame them?

Asked and Answered

FoIB Holly R sends us this poser:

"Are we in for a break from health care hikes?"

According to the linked article, "[h]ealth care spending is expected to grow next year by 7.5 percent, which is historically low"

The author cites economic woes and "cost-conscious" patients for this apparent good news.

Unfortunately, the real answer turns out to be less hopeful:

"Ed Fensholt, a compliance specialist at Lockton Companies L.L.C., Kansas City, Mo., said his firm believes that PPACA requirements already are increasing the typical client's health coverage costs about 2% to 3% and adding $1 per employee in health plan tax costs."

So there's the theoretical world (of staff reporters) and the real world (of actual business folks).

Which one are you going to believe?